>> a big miss for credit suisse. legal costs hit the bank. the boss tells us he is cutting back on the riskier areas of the business. >> daimler's c.e.o. joins us live. >> hashtag fails. twitter shares tumble. are the days of easy growth over for this business? >> good morning, everybody. welcome. you're watching "the pulse". i'm guy johnson. >> i'm francine lacqua.
also coming up, saving sony as the firm forecast a surprise $1 billion loss. >> let's begin with the credit suisse story. the bank reporting results today. the second biggest bank missing estimates. manus cranny sat down with the c.e.o., brady dougan in zurich. talk us through the numbers and tell us about those division. >> you know, guy, it is sort of like two misses and one hit. provisions. 514 million swiss francs but they are making progress on the tax investigation with the f.e.c. and the mortgage-backed security. that is going on. wealth management. a little bit of a shock here in switzerland and europe, guy. 2 billion going out the door it was that was about normalizing the business. cash a little bit light compared
to what we thought about. this tax issue is not going to go away. the i.r.s. is not going to go ongoing issue.an u.b.s. handed over 4,000 names. those are the numbers, the issues on wealth. if you're an employee at credit suisse, total comp is down. investment banking. they get a little more nip and tuck. down 10%. he question i put to brady duggan is it is hard to hang on to your challenge. >> overall our compensation benefits are down 8% from 2012. we continue to be focused. i'm sure we pay competitively in the businesses that are key and strategic for us. we think we should be able to do that. it is always a challenge to make
sure we're keeping and attracting the best talent. >> did the star performers get peeved when they hear the word deferred? >> i think obviously the whole industry -- the amount and structures around referal. credit suisse, we have been pretty much state of the art. it has done well for the employees as well. deferal is not always bad. >> guy, francine, one of the big issues in investment banking is aligning your employees with the staff. it is not structurally compensation is changing. that is something that every employee in the city has got used to. the data, fast buck, fast comp, fast cash. they seem to be easing. >> manus, i know you also grilled him on the correction of the markets. what did he have to say about those? >> one word stood out to me, an
inevitable. emerging marks are pretty darn important to brady dougan. probably about 20% of their revenue from e.m. and currency. q 3, q 4 not bad. it has been a bit of a bump. he said it is something we're going to have to go through. there is an northwestability in terms of what's happening in -- a inevitability in terms of what's happening. this is something we're going to have to go through. this is something we could just nip and tuck, excuse the pun, in q 1. >> it is all about the nips and the tucks this morning. suric looks lovely. it is cold. >> a big day for automakers. volvo shares are rising. >> daimler's c.e.o. will be joining us a little bit later.
ryan chilcote is here. let's start off with the trucks. >> nice part for volvo on track of r for their biggest gains since the summer before last. why? was it enya? the muscles from brussels? jean-claude tv ad, van damme doing the split between the trucks? >> i remember that 3 >> do not try that at home. >> those trucks are moving, sh aren't they? >> those trucks are going backwards at pace and he is doing a split between the two of them. companies say they are going to maintain their dividend. what investors really like to here hear is they are going to cut jobs. 4400 jobs by the end of next year. 2400 more than they had already announced.
all of those jobs in upper management jobs. >> volvo gaining some 5% on the back of that. we have pretty encouraging news from daimler. >> one, last quarter profit beating estimates. really good, up about 40% year-on-year. the forecast for 2014 better than the company let on before. finally getting the shareholders back. they revamped the sedan. very well received. outsold audi and the a3. that has helped daimler. the s class as well. if you look at the stock today, it was on track for one of its biggest days since the summer of last year. take a look at the last year for the stock. it is up about 50%. it is vastly outperformed.
volkswagen, the owner of awed ji still ahead overall of daimler. >> bond, james bond, of course, alking about him here. he was in the b.m.w. and then got back into the aston martin. he may be regretting that decision. >> yes. they announced recalls in all of the left-drive vehicles. many rb recalled, particularly if made last year. that is vintage. the problem is with the accelerate pedal. it is not as if 007 took his foot off the gas, he would go slower. said it was meat by dupont. it wasn't. -- made by dupont.
then general chang, who had a small part in "tomorrow never dies" but an important part, would be to catch up and it would be all over for james bond. it led to almost 17,000 cars being recalled by the luxury aston martin maker in the united kingdom. >> austin martin. >> i was thinking austin powers. >> or austin, texas. we could go on. >> i love the james bond, by the way. that was a great line. >> i've been wanting to say that for a while. >> sony issued a profit warning today. they also announced, this is the real news, a significant restructuring. here with more is caroline hyde. we go to a new plan. >> that is two eathornes in the
side of sony. -- - eathornes in the eathornes in the side of sony. tv still a key concern for them as are phones. they are just not winning out to apple. samsung. those two companies have cleaned up. all this despite the bright spots of playstation and music and film. a 1.1 billion loss is now forecast for their full-year finishing in march. they have profit. it is going to be a real loss. >> what are they trying to do to tackle the situation? we had some dramatic announcements today and i guess investors will decide whether that is enough. >> that will be how investors
will respond tomorrow morning. that will be the judgment. 5,000 jobs to go. 1/3 in japan. 2/3 internationally. remember, this is a company, they slashed 10,000 jobs in the tv unit alone. clearly more jobs to go. they are also spin off the tv business to a separate division after 10 straight years of losing money. there may be a few i told you sos out there today. daniel had been saying restructure your tv and p.c. unit. they are clearly having to do that now after they failed to follow his previous advice. many analysts looking at the entertainment business of with wr this is a company that could grow. "american hustle" and "captain phillips" are two films that sony is behind. back to you. >> caroline, thank you so much.
caroline hyde there with the latest on sony. >> ok . shares item nbling extended trade. user growth slowed unexpectedly to less than 4%. hans nichols is in berlin with more. hans? >> we got a looks behind the curtains to see how they are doing this quarter and dwrothe is stalling. that's how the stock collapsed last night. down 18% in afterhours trading. the question is their growth fast enough? they have 241 million users. 30% growth yearover year. facebook is only at 3.4% but facebook has 1.2 billion users. twitter is nowhere with near hat.
you just see how far they have to catch up and monetizing what they do. selling ads, that is their business. even though revenue is up, this idea there is going to be explosive growth in twitter because all of us journalists use it all the time doesn't seem to be the case. analysts were pretty harsh on the call with c.e.o.s last night. >> how did the c.e.o. try to explain this? >> he met with a great deal of skepticism. here is his argument why the company is doing well. their timeline views. they are down a little bit but ey are get $1.50 per 1,000 timelines. also 75% of their revenue is from mobile. for u.s. users, there is about 350 per 1,000 time line views. internationally, only 60%. that is a massive -- 60 cents.
they need to keep growth up internationally. >> tweets are very, very valuable, i can tell you that now. >> hans nichols with a latest. >> what else is on our radar? airline flights to use have been warned to look at toothpaste tubes that could be turned into a bomb. security at sochi is tight in response to terrorism threats. >> mcdonald's is opening in vietnam this weekend, the first time they are entering a new southeastern asian country. >> green mountain is paying around $1.25 billion. coke is helping to introduce them to the cold beverage system.
credit suisse. >> the swiss bank missed estimates. manus cranny asked brady do you goon about the subject. >> in general, in 2013, we think we made good progress working through a number of our issues. litigation provisions today included the mortgage side where there are a number of issues and also specifically this cross border issue on the f.e.c.. it has been a long-running issue, something that we have been working hard on. there are two aspects. as you say the reserves that were taken today against the f.e.c. element of it, the securities and licensing issues on the cross border issue emphasize the fact that we are making some progress to that portion of the issue. on the investment bank side, obviously the greater provision comes into -- for the mortgage bank, is this the top in terms of provisioning or do you say
look, manus, i can't give you a top figure yet. >> i think we have made great progress on that front. we got a number of issues resolved. we a number of issues outstanding like the f.h.a. issue. we have made good progress in working through them. also i think our profile in this area is a lot smaller than a number of other banks. so it is hard to say, it is obviously difficult to say that the end but i think we're making good progress. >> another challenge for the bank is turmoil in emerging markets being caused by the fed's tapering in part. duggan said that has already affected his business. >> he did say he understands why central banks need to cut back on stimulus. >> the emerging markets challenges are not brand new. we did see some challenges the ast half of last year.
conditions were challenging. certainly so far this year, they have been a little bit more challenging. that has impacted the business. overall, we have said, our overall business started off in a way that is not dissimilar to strong starts that we have seen in previous year. -- years. it has been more challenging backdrop for that business, but we'll see how the business develops for the rest of the quarter. >> on a macro basis, a lot of central bankers are saying hey, federal reserve, listen to us. you cannot go it alone here. pay attention. do you have any sympathy for central bankers? do you think they have a point, brady? >> we had a period of accommodative policies from the central banks. obviously at some point that was going to have to be pulled back. we're seeing some of the impacts of that and i think we will see some impact on the markets as a
result of that. but i think it is an inevitable process that needs to be -- that has to happen. >> that was c.e.o. of credit suisse, brady dougan speaking to manus cranny. >> let's get to more company news for you. disney's animated hit "frozen" exceeded analyst stims and sent shares higher in afterhours trading. has raked in more than $860 million worldwide. >> ford will cut about 300 jobs in australia and slash production in june. the car maker is planning to close its factories in the nation. blaming the strength of the australia quan dollar amongst other reasons. google me a may add new
services as long as it grants -- to rival services next to its own specialized results. competitors will pay to bid for one of those three spots. >> coming up, the largest i.p.o. in the country since 2006. bloomberg spoke exclues ily with its billionaire founder, patrick drahi. more on that conversation next.
>> welcome back to "the pulse" live from bloomberg television and radio and streaming from your tablet and phone and bloomberg.com. r it is time for hot shots. it was a slippery start for drivers in the rally. the first phase of the event this week. pretty high speeds. especially tricky for the british driver who ended up in a now drift. >> the second day of testing for the motorcycle in malaysia. saw stellar performances.
motorbike racers breaking the barrier. volcanic ash and rock shooting into the air in ector rcing evacuations in surrounding towns. >> happy days. we have another day of gains. two straight days of gains. gains of .6 on the dax. gains of .5 on the cac 40. it is right here where the focus will be later on. this is a rebound. i call it a rebound. look at the stoxx 600 year-to-date. we are down on the stoxx 600 by 2.66%. my focus is the central banks, the bank of england and the e.c.b. the euro now buys you $1.3525.
the euro is trending lower. a lot of people think they might move today. why? the stability. it is 2%. we are way off. a lot of people think say need do something. what does the consensus view mean over the last couple of months? not a lot. it is a record low. 15 basis point cut. is that going to make a difference? good question. >> that is going to be the exciting event when it comes to e.c.b. this week, this year, sorry. >> up next, we'll continue the conversations and kevin daily joins us talking about the big surprises making life tough for mark carney. >> an empire built on bricks. we have been talking about the u.k. economy. the housing market is roaring. so are lego brick with the
>> welcome back to "the pulse" live from bloomberg's european headquarters here in london, i'm francine lacqua. >> i'm guy johnson. these are the bloomberg top headlines. >> airlines going to russia have warned to watch for toothpaste tubes that could be turned into a bomb. this alert comes just before the start of the winter olympics in sochi. security is tight in response to terror threats. >> iran's president has made an unprecedented move by accusing
state tv trying to block his broadcast to the nation. rouhani said the state company was obstructing his discussions with the people. >> patrick drahi has emerged as one of the world's 200 richest people. he found a telecommunications company. in his first international broadcast, he spoke with our middle east editor, elliott gotkine. is this the bottom line with him? >> that's right, guy. it is amazing that no one really noticed. we knew he was wealthy. he hones the cable and tv business here in israel, for example. it wasn't until he had the political offering of an investment vehicle on the
netherlands stock market last week that i noticed he was rather wealthy. altice is worth 50 billion euros. he is worth a few billion himself. when they did all the of the bigging and leg worth, they found he was worth $6.5 billion. drahi told me it is not about the money. aimable ery affable, person. he said it is not about the money. he said since he was a boy he wanted to own and be in charge of his own company. >> my dream was when i was very young, still in school, to be the c.e.o. of a worldwide company. a dutch-based group. after one year working there and i liked it very very much but i discovered it would have taken
me years to become c.e.o. i decided to be my own c.e.o. and i created my own company when i was 25 years old. i had a lot of ideas and a wish to work hard and now i'm, you know, i'm happy to be the head of this company. >> he is worth about 23 billion euros. his company altice is worth about 6 billion. he is only 50 now. guy, francine? > you mentioned the i.p.o. for drahi. is that to make it easier? > he said it is not just about -- let's not forget that vivandi said they plan to spin off s.f.r. drahi said he is a patient man. that is fine by him.
e said we have this public offering. also to raise the profile of this company that has assets in places diverse as the dominican republic. he says that s.f.v. one -- tial target but it s.f.r. is one potential target and it takes two. >> thank you so much. elliott gotkine there. our middle east editor. >> let's talk tech. when you think about wearable technology, one image that comes to mind is silicon valley geek with a smart watch wearing google glass. cory johnson finds wearable tech where you wouldn't expect it. as i said, going downhill fast. >> for oakley, wearable technology is happening now.
goggles that communicate with users in realtime. >> the next generation. the next move. these goggles -- a series of data points, altitudes, trail maps and speeds. maybe that sounds dangerous, but n practice, the monitors are unobtrusive and the services are amazing. all managed with a glove-friendly controller worn on the wrist allowing the rider to quickly switch between fields. >> we base everything on technology and design and being first to market with product s that aredisruptive and revolutionary. >> oakley has sold tens of thousands of these $650 goggles. this is about defining the oakley brand. t is innovative, cutting edge.
with everything from cheap sunglasseses to $650 ski goggles. >> we're pushing envelope on a small niche market. but what we're learning in doing that translates to product that is maybe downstream a bit as well. >> the key to the opening market effort is cool kids in cool sunglasses. we have a massive marketing effort. to get celebs wearing oakley, the company launched a learn to ride campaign. l of the celebrities are festoon oakley swag.
they hope to enhance the ire oakley product line. >> that technology story trickles down. >> cory johnson, bloomberg, park city, utah. >> i've been to park city once. it is pretty cool. >> oakley was very much in fashion about 10 years ago. then they went out of fashion. they are coming back. receiver she is italian. listen to her. >> we get policy decisions from the e.c.b. and the bank of england in a few hours. >> here is jonathan ferro talking about italians that we should listen to. >> it is a carbon copy of the last quarter. the start of the quarter, a weak inflation number. everyone comes out and think what is is the e.c.b. going to do? today a couple of people are talking about a rate cut but they have to start with the inflation story. the e.c.b. will be talking
amongst themselves. what do we do about it? >> we have to watch for the bank of england because he has a tricky situation where he has to acknowledge strength and talk down interest rates going up. >> we're likely to get more of that in the inflation report next week. for me, the e.c.b. is the dominant story today, particularly on what they can and can't do. is it going to be a rate cut and does it address what a lot of people are talking about? sterilizing the securities market program. >> i think the bank of england when it comes to the inflation story, it is a more interesting story. pricing in rate hikes, looking at the day, you can understand why. you start getting below and you think about where we have come from and that can let him out of jail and allow him to maintain this extended period of low rates that he has been promising
us. >> less inflation and less pressure on him. we see the pound climbing and that will bring inflation down further. he has to contend with other issues. the high housing boom is one of them. that is something you can't ignore going forward. that is going to put pressure other way. it is going to push him against osborne. >> rates are pretty low already. even if he goes to 0.1, people are saying he will have to come up with something else. >> you go ba tock securities market program in the -- to the securities market program. the only way they got this out the front door was by sterilizing, making them neutral for the money supply so you take ut the excess liquidity. to neutralize the impact. now bundesbank is saying hey, we might -- >> that is only going to help
the money markets. that is going to have little impact. >> little impact elsewhere, but it is what happens next. does that open the door for outright q.e. ? that could be possibly a bigging big deal. i know symbolically, it would be hugely significant. considering how this financial crisis has played out and how the e.c.b.'s response to it has played out, it would be a hurdle that we can finally get over. >> you're going to walk us us through it. the e.c.b. rate decision and the press conference, always entertaining. right here on bloomberg television. >> up next, we'll continue the conversation on central banks. goldman sachs' chief officer will join us.
our next guest says the b.o.e. faces big surprises and will make life harder for mark carney. the chief u.k. economist at goldman sachs and joins us now. some positive challenges i guess from the u.k. economy's point of view and some negative challenges. when i look at what's tipping the balance now in terms of the bank of england, is the underperforming underrepresented inflation number or the fact that we're getting growth elsewhere and there is a roaring housing market? >> since guidance six months ago, they have been surprising on every dimension. >> forecasting. >> most people have. it is not just them alone. growth has obviously been stronger than they expected. productivity has been weaker than expected. it is because of that weakness in productivity that the unemployment rate has fallen as quickly as it has.
both of these argue for tightening policy. then you have signs of labor supplies much more abundant than they would have thought. as you say, another big surprise has been inflation. inflation is more than a percent less than forecast last february. .le lower than they forecast back in august. not all of the surprises have been in a hawkish direction. >> most of them have been, ken. you still believe that interest rates won't go up this year? >> yeah. think the -- it will be dovish. it is possible today they will release a statement although we think it is more likely they will wait until the inflation report next week and that is where the message will be conveyed. i think the one lesson from the
last six months and they will be keen to not continue to tie themselveses to a variable. we think it is unlikely they will simply drop the unemployment rate threshold. there is some discussion they might introduce time contingency guidance. i think that is unlikely. for us, i think more likely they will introduce a broader range of variables. there is no way to hide this. it would be a step back towards more conventional inflation targeting framework. i think they will within that be -- send a pretty strong message they don't expect rates to rise for sometime and when they do, they will rise only very garagely. >> mervyn king has to be happy about this, the guy that invented or pushed through inflation targeting, that being his weapon.
>> could you raise rates in an conomy that has inflation? >> central bankers need to be forward-looking. low innation in the context of very strong growth and if the unemployment continues to fall as quickly as it has been recently, then for sure, they could raise rates even with weaker inflation in the anticipation of higher inflation. >> there is no wage growth. >> but on the whole, i agree with you. i think it would be premature at this stage. we think it will stay dovish. the really big changes in policy that have driven this recovery in the last six to nine months took place under mervyn king's watch and the introduction of credit easing, the funding for lending scheme. all the measures that were used to boost credit revision. there has been a lot of focus on
forward guidance. it hasn't done much harm but not much benefit either. the changes that helped boost the u.k. economy were underway before mark carney arrived. >> let's suppose inflation will go up because of oil prices. would the consumer be able to withstand a slight interest rate rise, for example, in the summer? >> i think we will be able to withstand it. i just don't think it is necessary at this stage. with wage growth as weak as it is, i agree with the national sis that if rates rose very sharply, holding everything else equal in the current context, a lot of households would be in trouble. lot of this nall sis, it -- analysis, it has been talk about, you're not going to suddenly have rates rise.
look forward to the time where rates do rise. that will be the context where the economy is growing much more strongly for a long time that wage growth is a lot stronger. and that households will be in a position to manage those rate increases. once you welcome the point where rates will be in a position to be raised, we're just a long way from that point yet. >> ever since the introduction of forward guidance, ever since we went to listen to the governor, the market has mispriced his view of the world. how misprice second-degree the market now -- mispriced is the market now? rates are going higher. in the fairly short-term, how misprice second-degree that? >> we are more dovish than the market.
we don't expect rates to begin to rise the middle of 2015. it depends on how you adjust the risk premium. we are more dovish than the markets on policies despite being slightly more bullish than the market on growth. because we think that there is a lots of supply capacity in the economy. we think growth will pick up and that the economy can afford to grow without creating pressure. it is not just in the u.k.. it is across the vast economies. the inflation dynamic at the moments is very negative. we expect inflation in the near term, in the next three to four months will move possibly as low as 1.6%. >> very below target. thank you so much for all of that. the bank of england is today. the big one to watch will be
>> good morning, everybody. welcome back. in today's new energy, london's transport network is in chaos this morning. we have a tube strike dragging on for a second day. there is a large queue of traffic outside this window here. not exactly zero emissions but transport for london faces another big challenge this year, meeting strict european air pollution targets and an attempt to avoid heavy fines and cut the transport pollution. let's find out what it is and it doesn't involve the tube. getting rid of tube strikes will probably improve the situation. do they have another plan? >> they do. the mayor of london came one an idea of an ultralow emissions one. effectively, it would ban all cars from driving into the city
center unless they are zero or low emissions. >> taxis? if you look at the number of cars, even prius doesn't qualify. >> right now, they have a congestion charge for the city of london and they have a waiver for the charge if you have a green vehicle. transfer for london redefined the environmental standards for these vehicles. they used to have an emissions limit of 100 grams kilometer of co 2. the prius doesn't qualify for that now. he current one is about 89 grams. underneath my car it, you're telling me i can't drive my car out of the garage? >> not during working hours. this is 2020. still sometime away. >> six years away. >> comes up quicker than you
think. yeah. if it does emit more than whatever standards they come up with, then, yeah, you would not be able to drive that around town. >> working hours is what? 2k09 5:00? >> they have not come out with full details yet. >> we'll leave it there. hank you very much indeed. that will keep those ferrari driving guys on the west end under control. francine, back to you. >> thank you. for our viewers, the second hour of "the pulse" is coming up. this is what we'll be talking about. daimler delivers. we'll be talking to the chief executive officer. earnings are increasing by a lot today sending the share price up. it is a big day for central banks. the global head of economics
>> daimler delivers. its c.e.o. joins us live, but volvo shares are also surging the truck maker doubles cuts. >> are the davis easy growth over? >> and it's a big mix for credit suisse as legal costs hit the bank. his boss is coming back. >> good morning to our viewers in europe. good evening to those in asia. a very warm welcome to those just waking up in the united states. i'm guy johnson. >> and i'm francine lacqua.
this is "the pulse" live from london. >> what have we got coming up for you? saving sony. the firm forecasts a surprise $1 billion loss. we'll see if a major restructuring plan can ensure its future. >> and, of course, it's a big day for automakers. volvo trucks is one of the biggest gainers in europe. the company reported operating profit that beat estimates, and they also announced job cuts. >> daimler posted a 45% surge in profits. later this hour, daimler's dr. z jones us live. but first of all, we have dr. r. he's here with the latest. let's start with voluntarily vosme >> yeah, nice pop for them, biggest rise since the summer before last. was it the muscles from brussels and that extraordinary feat between the two trucks when he did the split? >> you're obsessed with this. >> well, i've been watching it. it's not really about jean-claude van damme and the split, it's about the trucks right there, which have this
incredible emergency brake system, where they can brake on a dime, really extraordinary. even better than that, i have to say the ballerina, she walks a tightrope between two trucks and gets to the second one just before being decapitated by a tunnel, extraordinary, and maybe that's part of the reason why their truck sales were up 12% in the fourth quarter, and the company said that, despite the fact that profit is falling, they beat estimates, they're going to maintain the dividends, and what investors really liked was that they're going to cut more jobs, 4,400 jobs to go. they already announced 2,000 were going to go, but i think they need to go deeper. the reason is, despite the fact the trucks are very popular, the truck market, surprise, surprise, is smaller. >> volvo gaining 4.6%. we have encouraging news from daimler. >> also a good story on three fronts. first, last-quarter profit came in ahead of expectations, better than the company let on before. and they're giving shareholders back more money than most shareholders were anticipating.
why? the c class is doing really well, particularly the c.l.a. sedan, outperforming the audi a-3 in the last three months of last year. the s class is doing really well too, very luxurious. and you see that in the stock price. stock up almost 50% over the last year, vastly outperforming its rival. b.m.w. still the biggest luxury carmaker out there, something that daimler would like to undo and even volkswagen's audi has been doing well. but share price-wise, also really underperforming, daimler. >> we've had the muscles from brussels. we've got dr. z. this could be a bond script as well, and a ballerina as well. >> look, i'm into my heavy trucks. i didn't realize how excited -- have you ever been in the cab of a heavy truck? if the muscles from brussels was in the cab with you, would you consider? >> james bond might tip the balance, i think. >> james bond -- >> now that's another story. >> james bond not quite so cool. as ton martin recalling some
cars since 2008. nearly all the left-end cars -- >> it's want one of those. if you own one of those, you're probably ok. >> the van quest, yeah, you're in the clear. right hand drive vehicles produced since last year, the sprob with the accelerate pedal, to be more exact. it's with the arm that connects the car to the accelerator pedal. they outsourced it to a chinese supplier. they said they were getting the plastic for it from dupont. in fact, it was counterfeit. what would happen if it snaps? basically james bond in his getaway car would run out of fuel, he would just stop accelerating, slow down, and the bad guys, like general chang from "tomorrow never dies" would catch up and that would be it. you're better with the heavy truck. >> i think he was driving -- i think in that one, he was driving a beamer. >> there's the stars. even the stars are deserting their british icons.
>> craig is back in the car. >> as ton martin is still alive. there's a reputational problem, but minimal costs. i think the bigger problem is manufacturing coming back into the u.k. and out of china's results. as ton martin said they're going to make the part. >> ryan there, thank you. daimler's c.e.o., dr. z, will join us later this hour. let's talk about twitter. the company posted its first earnings report as a public company. user growth unexpectedly slowed. our international correspondent, again, that sounds slightly bond-like, hans nichols, joins us from berlin with more. >> guy, here's the essential challenge for twitter. one, they need to get their growth numbers up. they need to have advertising numbers up outside of the states. we talked about this a little bit. we're going to do a quit tutorial. let's say i'm living in the
states. for every 1,000 page views, twitter makes $3.80 off me. but for francine, for every 1,000 page views she does, only 60 cents. so the quiz, guy, francine, how many more times does francine need to refresh her page view in order for us to be par -- for there to be parity between the u.s. and europe? >> 2.5. >> no, way more than that. >> yeah, way more, but i'm trying to play it down. what do you mean i need to work harder at this? >> you just need to refresh a lot more. i mean, this is their challenge, right? the growth -- the ad sales in the states is good. it's $3.80 per 1,000 page views. they've gotten that way up. the average view globally is $1.50 per 1,000 page views. but they're not seeing the growth internationally. they're not seeing the growth stateside. you look at where twitter was, they had double-digit growth. twitter's growth, 3.8%. over the year, just 30%.
the stock has been inflated since its i.p.o., up 150%. now everyone is taking a look at it saying, well, maybe the growth isn't there. that's why it came back down to earth. i suspect it will be open a lot lower this morning. guy? >> so here's the thing. i'm fascinated by this. why did twitter have a conference call? >> here was a company you would have thought that could have done the whole thing on twitter and kind of just kept it a little bit more inhouse, but no, they went old school and had a conference call. bit of a disappointment, really. >> well, another interesting thing about that, they offered forward guidance, which facebook and google haven't done. so twitter is a bit old school in that they were playing by wall street's rules by offering guidance of what they expect in 2014. you know, look, we can make a lot of snarky comments on why they didn't do it over twitter, in large part because so much explaining to do, maybe 140 characters wouldn't have given that much time. but you can be picky. francine is witty on twitter.
person, less witty, but very witty on twitter. >> i've always been called a contrary, so i don't know whether i should take it as a compliment or not. i'll think about that and get back to you. hans nichols, international correspondent, on cracking form today. >> as ever. credit suisse reported results today. man us cranny sat down with the c.e.o. manus, walk us through the numbers. >> these guys are littered with provisions, over half a billion swiss francs of provisions. for mortgage-backed securities, we're not at the end of that road yet. also, in regards to an investigation by the tax authorities, the department of justice, that's hitting into the numbers. dividends, there's a cash dividend. that's good news. a little bit lighter from what we anticipated. but fixed income trading down 32% at the investment bank.
equities, yep, that wasn't too bad, but there's a real issue in terms of strategic part of the investment bank. profits down 35%. when it came to these provisions, i asked to run us through the nuances of provisioning. >> well, in general, in 2013, we simply made good progress in working through a number of our issues. as you say, litigation provisions today included both the mortgage side, where there are a number of issues, but also specifically this cross-border u.s. issue on the s.e.c. on the cross-border issue, it's always been a long-running issue, something we've been working hard on. there are two aspects. one is the d.o.j. element. one is the s.e.c. element. so as you say, the reserves that were taken today against the s.e.c. element of it, which is more the securities and the licensing issues on the cross border issue, do represent the fact we are making some progress towards getting a resolution, so that portion of the issue. >> and on the investment bank side, the greater provision comes in, for the mortgage
back, is this the top in terms of provisioning for your mortgage back exposure, or do you say, look, manus, i can't give you a top figure yet? >> i think we've made good progress on that front. we too have one of the larger outstanding issues, but we do feel like we obvious have the taken significant reserves during the course of the last couple of years, and we've made good progress in working through them. i think our profile is a lot smaller than other banks. so it's hard to say. it's obviously difficult to say that to the end, but i think we're making good progress and orking through them. >> just to give some context. u.b.s. over the tax issues back in 2009, paid out nearly $800 million in terms of penalties. the wealth management business saw some funds and compensation was cut overall at the bank by 8% and on the investment
banking side, a little bit of a nip and tuck if you're an investment banker, 10% drop in comp. back to you from a sunny zurich. >> sunny but cold. >> yeah, sunny but cold. you got to be on the right side of that lake, and manus is always on the right side. >> i'm being protected from the sun as we speak. >> right, yeah. just make sure you carry on. got to have a good producer. >> now, sony issued a profit warning today. it's forecasting a surprise $1 billion loss, and it's also announced a huge restructuring. here with more is caroline hyde. clearly the turnaround that investors wanted is not working, so they have to go the extra mile. >> they do. i mean, dramatic statement today, $1.1 billion loss equivalent coming for the full year. that's being announced in march. they have promised us a profit, so what is the turnaround? what are the thorns in their side? they continue to be home entertainment and mobile products. these two products make up about 1/3 of their revenue, and, well, tv, a, it's a
shrinking market, because we're watching television via the internet, but also sam sunk and l.g. electronics really have stolen the market share there. also, the battle for the phones, battle for the mobile, apple and samsung are winning. sony, the experienced smartphones get very good thumbs up for many people who use the phone, and they've got very powerful tools on them, but still not selling, and they've lowered their sales forecast. bright spot, the playstation, music, financial services, these negative parts are really dragging down the profitability. >> what do you think about it? >> big announcement, 5,000 jobs to go. this is a company that already laid off 10,000 in the tv unit, so more heads to roll, 1/3 in japan, 2/3 internationally. at last they're selling off their p.c. unit. he's going to be a smug man, because the billionaire has been saying, look, we restructure, restructure, restructure, restructure, they're selling the p.c. business, spinning off the tv business as well into a separate division.
but many want them to focus even more on content. they have had some notable successes. look at "american hustle," "captain phillips," they made those films. analysts saying get more into content, such as pay tv service. video game streaming service, they're trying that out as well. maybe more innovations to come, but no profits just yet. >> caroline, thank you so much. caroline hyde there with the latest on the big restructuring story at sony. >> what else is on our radar this thursday morning? airlines, flying to russia, watch for toothpaste tubes containing material that could be turned into a bomb, according to a u.s. law enforcement official t. comes before the start of the winter olympics at sochi. security at sochi tight in response to the terror threat. >> mcdonald's is opening a restaurant in vietnam this weekend, the first time in 20 years that the fast food chain is entering a new southeast asian country. it's rival, burger king, already has 29 restaurants in
the nation after first opening there in 2011. >> green mountain is being sold for $1.25 billion. coca-cola is helping them introduce its new cold beverage system. >> up next, decision day for bank of ofening -- the england. sandaup later this hour, customers are drooling over the mercedes c.l.a. and s-class cars, and they're pushing daimler's profits full speed ahead. we're going to speak to the company's chairman. ♪
>> welcome back, everybody. bank of england e.c.b. coming up, where the surprise is going to come from. the pound at the moment on the back of 1.6294 versus the u.s. dollar. you may get a statement today. probability is you won't. we have a press conference next week. the inflation report is coming up a little further down the road. we will get a press conference today, though, from the e.c.b. the inflation numbers are pivotal here. ing what draghi say? will he move on rates today? will he hint about rates in that press conference? what is his next move? 1.3525. let's talk more about this. jonathan? >> of course, one word, disinflation. one number, .7%.
the target at. e.c.b. is 2%. we're no before near it. the starting point today for the government is whether they think inflation will rise from here or carry on forward. a lot of talk about falling energy costs, potential until passing the number for last month. your starting point is there. what happens next is up to the e.c.b.r. they going to watch? what will they do? rates right now are at .25% where. do you go from here? you can only go down to zero. talking about a 15 basis point cut here. it is not a lot. the big one for me is what happens with that securities market program. that was the program under which the e.c.b. bought bonds from spain. they bought bonds from italy. this only got through the front door because they neutralized the impact on the money supply. i.e., they drained the excess liquidity equivalent to the amount of bonds they house. it did not impact the money supply. they effectively sterilized those bond purchases from. here, though, there's a lot of talk about the bank giving the nod to the e.c.b. that they
would be comfortable if they stopped sterilizing the bond purchases. that would mean by the back door and potentially, potentially bond purchases down the road. it's a big hurdle, and there's a lot to come out of that presser. >> john, thank you so much. we'll have to watch out for that presser. that's a little bit later on today. for more today, central bank decisions. let's welcome march she will in. great to have you on the program. thank you so much for coming in. most economists are expecting nothing today, but mario draghi could surprise today. does it make more sense if you're going to do anything the next couple of months to cut rates today, because the signal will be taking everyone under the wrong foot. there will be no move today, but i wouldn't completely rule out a rate cut. i think what's crazy here is to step back and think about what would a rate cut mean for the real economy. the answer is probably not all that much. but at the same time, i think
here it's important to think about what's been happening yesterday, both in terms of inflation and real activity. since we had the last e.c.b. meeting, the real activity data for the euro area has been better. that's the key point. yes, it's moving on the lower side, but if we are moving forward and we are seeing that recovery gain some traction, in that case, i don't think the e.c.b. is going to feel the need to do something very aggressive. and i think that's really where the key point is. but the big question for the markets is, of course, if we were, and the risk scenario of deflation, what could be the e.c.b. do. in that context, the debate on the sterilization becomes very, very important, because if we think about one of the key components of the treaty, it is that financing is not allowed, and that's one of the things that prevents q.e. from taking place. if there is a assessment on that line, if they turn around
and say it would be ok not to sterilize, then that starts to pave the way. for all the details we still don't know about the o.m.t., one of the things that the e.c.b. did emphasize on o.m.t. was, again, this will be sterilized. i think it's more a question of understanding what the e.c.b. could do in deflation. >> there is a single needle in the compass. they have a legal mandate, inflation. they are not making that mandate. there has got to be strong pressure, and that pressure has got to be growing for them to do something a little bit more aggressive. we got a .7 read on the numbers, core and noncore, and we've got an emerging market crisis that is forcing down commodity prices. you're going to end up in a situation fairly soon where we're not going to be printing numbers below that. >> but i think we have to look at what is price stability, because i think when we look at what e.c.b. defines as price stability, remember when higher oil prices were pushing inflation well above 2 percent perks the e.c.b. didn't turn
around and say let's hike rates now, which would have been a bad thing to do. of course, higher oil prices is not good for growth. lower oil prices are good for growth in the euro area, so i don't think the e.c.b. would turn around and say, look, because of lower oil prices, we need to pump more stimulus into the economy. now, price stability, to my mind, is looking at the inflation expectation, which still remain quite well anchored f. we look at the g.d.p. deflators, we're not seeing the same pressure. if the recovery is coming through, i think the wide of widespread twhration is limited. to me, twhration at the end of the day really links back to what's happening on the wage dynamics and people's ability to repay their debts through the income dynamics. so it's about wages and employment and much less, to my mind, about the you're sandrow oil prices. so i think the e.c.b. will have that focus as well. if the recovery falters -- >> yes. >> in that case, the question
becomes what the e.c.b. can do. and that's where today's opinion could be relevant for the future. >> michelle, thanks very much, from societe generale. >> be sure to watch our e.c.b. coverage. that's coming up. we'll break the decision, then carry the press conference. that's later on this afternoon right here on bloomberg tv. we're back in a couple of minutes. ♪
>> its time for a look at today's hot shots. it was a slippery start for drivers in a shakedown this week. racers skidded around sharp corners at high speeds. now, the conditions proved especially tricky for british driver, who ended up in the snow drift. >> we're better at driving in the rain. the second day of the time trial test for the motor bike grand prix in malaysia saw some performances. the top racers took to the tracks with world champions breaking two-minute barrier. >> and volcanic eruptions continues in ecuador. volcanic ash and rock shot 32,000 feet into the air, prompting evacuations from surrounding towns. >> now, coming up, dr. z is in the house, or in the car. our interview with daimler's chairman and c.e.o., the carmaker announcing a 45% surge
>> welcome back to "the pulse." live from bloomberg european headquarters here in london, i'm francine lacqua. >> and i'm guy johnson. these are the bloomberg top headlines. >> airlines flying to russia have been warned to watch for toothpaste tubes containing materials that could be turned into a bomb. the alert comes just before the start of the winter olympics in sochi while security at sochi is tight in response to terror threats. >> iran's president has made an unprecedented move by accusing state tv of trying to block his address to the nation. the broadcast was delayed by almost an hour.
rouhani took to twitter to say that the state company was obstructing his discussion with he people. >> and the e.c.b. releases its latest rate decision today, although inflation is at a four-year low. almost all economists surveyed by bloomberg don't predict a rate cut. bloomberg tv will bring you the rate decision at 12:45 lone time, and president mario draghi's news conference at 1:30 london time. >> the man in charge that have event here in the studio is jonathan. he joins us from the touch screen with a market assessment. >> thanks, guy. let's start it here. happier times for the boss perhaps. we've got gangs across europe, up .6 on the ftse 100. that's two days of gains, snapping four days of declines on the dax here in germany, pumped in higher by just 1%. we are raising the losses through the year. if you look at the stoxx 600, the f.c. benchmark for the region, year to date, we're now down to 2.24%. but my focus is mr. draghi and
a certain euro. one euro now buys you 1.3524. that is it on the year. .7%, that is your number of the year so far. that is the rate of inflation across the eurozone, far and away below the e.c.b.'s target of 2%. what can they do to get there? will they cut rates? consensus knows no change, but those that think they will, it's going to come down from .25%, which is already a record low, to .1%. it's that enough? i leave you with that. >> all right, we'll leave it there, thank you very much indeed. patrick became one of the world's 200 richest people after taking his telecommunications company public last month. it was the largest i.p.o. since 2006. >> yeah, in an exclusive interview, elliot gotkine sat
down with drahi. >> first of all, we need international recognition as we start to invest, and we started to be under the market for the , to have company investors on our shareholder, gives us an additional urrency. >> i was going to ask about you the potential acquisitions. they prefer to spin off rather than to go down a different track. what makes you think that the offer you're preparing will appeal to them and make them change their mind? >> i think i'm used to doing deals with people, to take into consideration what people need. now, if we can do a deal, we
can do it now. if we do it now, i believe in the concentration of the market anyway, so i can be patient. >> i was going to ask you, there's very little debt. it's very refinancing, more than seven billion euros at the moment. is this a sign that if you do do a deal you would have to put autopsy lot of equity? >> yeah, we would do a deal, and we are prepared to do so. we have developed our skills hat way. >> it was a share recently, and this is pure equity coming from the company. >> what do you think it's worth? >> there's one final question on this. you got 45-day lockup in terms of being able to sell the shares, and then you can sell them if they're to be used in mergers and acquisition-related
deal. what would l.t. shareholders get out of a merger? >> well, first of all, we didn't do that -- this is the first time i believe an i.p.o. is planned this way with this 5 days lockup. snimes each of our country's projects, and i believe cable will consolidate mobile in different countries, so we have an assembled portion outside of france, like, for example, in portugal, in belgium, in israel, it's depending on the market, depending on the regulation. >> it all started for you, i think, coming from c.m.a., is that right? >> yes, i think so. that's a long time ago. >> how did that come about? >> well, you know, i started to work. my dream was to be, when i was very young, still at school, a
company, and i started ma marvelous group, a dutch-based group, and after one year working there, i liked it very much, but i discovered it would have taken me three years to become c.e.o. and maybe not, and i probably decided to be my own c.e.o. i created my company, i was 29 years old, and i had to survive because i had no cash, no nothing. i was happy to be the company. next, it was very hard to open the stock market friday morning in amsterdam seeing my employer -- >> then if you saw the interview, you read about it, we have an interview with the venture capital pioneer tom perkins, who compared the attacks on the 1% richest americans to the attacks on
jews during the time under the nazis. i wouldn't expect to you make a similar comparison, but do you get a sense that in france, perhaps in israel, that the very wealthy business people, even if they started from nothing and have made it themselves, are somehow demonized rather than being eulogized or praised for having created so much wealth and employment? >> well, i think the business people, they are human beings, as everybody else. they work, they wake up in the morning, say hello to the kids, have breakfast. they are like everybody else, simply probably they are working with -- they believe they can raise. they don't want to be too much powerful trying to be involved in everything.
i still drive my bicycle. > now that was patrick drahi speaking to our elliot gotkine. in just 20 minutes, it's "surveillance" with tom keene. what are we looking at today? twitter, of course, very much in focus. >> i thought it was fascinating last night. i think history was made last night, francine, with the way their conference call was conducted. we will talk to david kerpatrick, author of "the facebook effect." we'll talk to him not only about the disappointment in user growth of twitter, shares plunge, but much more what social media is doing to wall street on a global basis. again, the twitter conference call last night, it was amazing how that was distributed. we'll talk to robert berke, for years associated withberg dorf goodman. francine, front and center, michael kors, they do better
than good. they're the new heroes of new york fashion week. and a conversation with tim armstrong. our betty liu will speak with tim armstrong of america online about the challenging path forward for a.o.l. >> all right, fashion, ool school twitter, looking forward to all three conversations. tom, thank you so much. tom keene with "surveillance" in around 20 minutes from now. >> coming up -- daimler delivered as profit surges. we're going to speak to the chairman and c.e.o. about the vehicles. ♪
>> welcome back to "the pulse" live from london on bloomberg tv. >> right, so daimler has delivered and its profits have jumped 45%. that is thanks to popular new mercedes benz models, such as the c.l.a. coup and its revamped s class sedan. the company's chairman and c.e.o., dieter zetsche, jones us now. dr. zetsche, good morning. look, you are really riding the crest of a wave at the moment with some great releases of new cars that are really driving the bottom line. my question is, once we got used to these new cars and sort of the life cycle to evolve a little bit more, can you keep up the momentum?
>> well, to the end of this decade, we plan to introduce 30 more products, 12 of them being without a spread cesar. so we will have basically every quarter of new product. therefore, i'm very sure that the momentum we have built right now will even further increase. >> you also said that you're grad weighting getting closer to the profitability targets that you initially set out. give us a sense of how close you are to meeting those targets. >> well, the margins of last four quarters are known, published, and it's obvious that we're at a significant improvement of our margins during this time. that obviously helps us to continue into 2014 and going forward.
from the great new product, from the programs in combination, we create profitable growth, and that's what will take us to our objectives as well. >> but the targets will be here in 2015. what needs to happen for you to be able to achieve those targets? what new introductions need to it the market? >> we are about to launch the new c class. delivery starts right now. so far the media has reacted extremely positive. this is a new car in that segment which lifts the level in the segment all together. we have seen fantastic reaction to our s class. we will see the coup coming in that segment as well. we continue the great success of our compact cars with the g.l.a., our compact s.u.v. as the next step, we are really hitting on all cylinders.
>> one of the feelings is your business has done very well over the last few years, has been the emerging markets. we are starting to see significantly more turbulence in the emerging markets, currency corrections, etc. what are you modeling moving forward for those parts of the business? >> i mean, the high level of volatility is part of today's world, so we have to deliver that. the focus points are changing around the globe. right now we're seeing negative impact from capital outflow of some of these markets. we rake like we do everywhere with product, which is so attractive, that the demand is even relatively constant in the total market. it is negatively impacted by the economy altogether, and we are gaining market share. so, of course, we cannot be totally immune against those influences, but i think we have
a strong position. >> but a lot of investors coming on this program, dieter zetsche, saying it's going get a lot worse. will it change the way that you do business with some emerging markets in the next couple of years? >> we do believe that china will continue on a significant growth path. we would country that brazil will find its way through the current troubles. of course, the other markets, which is in a much more difficult situation, but much less relevant for business, so we are expecting this year, including these troubles, an overall growth of their passenger markets, for instance, car markets by 45 percent porse a global basis. and that is a good environment to grow even more than that.
>> dr. zetsche, we have profit warnings from your business fairly recently. you bounced back incredibly well as a result of that. you must feel personally, extremely vindicated. when you signed for your contract, it was for a shorter period of time than was normal. you have delivered. when do you start talking about a new contract at daimler? >> i'm in the first month of my new contract, so my colleagues, and this is a great team and myself, we are focusing on our products and our productivity, on our profitability. we are making daimler and the brand of mercedes and our other brands even better attraction to our customers and to our shareholders and for our employees, of course. >> will you even take on a bigger role? for the moment, you're head of mercedes benz and daimler since you took office.
will that change? are you enjoying the increased responsibility? >> i think that development of ercedes in recent years is not approved -- is not proof that we have the wrong organization how to run these businesses, so i think it's an advantage for the head of daimler to be very deep in the technology in our product, and i think i think make better decisions on this basis. that's why there's no reason to make any changes in this regard. >> talking of technology, let me ask you a question that we recently put in davos to the head of audi. when are we going to see in europe driverless cars? when is that actually going to become a reality? what are you guys thinking? when is it going to be part of our lives? >> i think it is in part a reality with our production cars today, the new s class,
the new c class, partial a moan muss driving cars, stop and go up to 25 kilometers. they're driving automatically, if you want. and we will add further elements always controlled by the driver on their demand. they always can keep the hand on the wheel as well. and we will see very significant way being done on the path to total autonomous driving to the end of this decade for sure. we are very confident that we are adding comfort, but as much for safety to our customers. >> mr. zetsche, you said after today that you're planning to build a new sports car. ane lot of our viewers, i think guy is also pretty excited about this. can you give us any more sense of the size of what market you'll target? give us a little bit of flavor on the background of this new sports car you're designing.
>> main flavor is that it will be more exciting than you can even imagine. other than that, it will be in the core of the sports car segment and very, very attractive mercedes. >> a bigger car? >> is it going to be -- just very quickly, dieter, is it going to be a petro car? >> it's going to be a petro car, yes. >> ok. why not an electric one? >> well, we do have a leadership in germany with electric cars in 2013. we will launch further electric cars during this year, the b class, namely, we have the van with petro electric drive train. so we are leading in this area as far as technology is concerned. we're launching a new electric
car in china as the only one of the direct competition. we are moving fast there, but we all know it will take some time to the market overall, if you want excitement with better electric cars, of course, our s.l.s. e-drive is a nice choice as well. >> yeah, i talked to elon musk a few months ago, and what he was telling me was that when the germans in particular decide that they are going to focus on electric vehicles and electric sports car, that's going to be the game changer, that he's just kind of a catalyst, and it's really down to you guys to decide this is the future and this is the way you're going to go, and kind of put the resources that you're putting behind petro sports cars into other -- into electric sports cars. why are we not at that tipping point yet? >> well, first of all, we are a shareholder, and we are in very close talks and cooperation with tesla, the new b class
electric car will be a combined effort between elon musk and us. we are putting a lot of effort behind their technology. we are investing heavily into alternative drive trains, not exclusively better electric, but all kinds. of course, quev to take the market with us. we have to drive cost down for these new technologies, and that's exactly what we are doing. we definitely will not wait for the market to develop, but we will drive and develop the market. >> dieter zetsche, thank you so much for your time today, the c.e.o. of daimler. >> coming up, it's a big day for central banks. we're going to look ahead to the e.c.b. and bank of england, rate decisions, and we'll tell you what else to watch for in the rest of the day. ♪
>> welcome back. four minutes to go until the bank of england releases its latest interest rate decision. . there you go, 1.6291. nevertheless, a pretty elevated level. this is euro dollar, 45 minutes until the e.c.b. delivers its decision. then, of course, we have the press conference. >> all-important press conference, which john will cover for us. international correspondent hans nichols is back with a look at what you need to know for the rest of the trading day, central banks and technology. >> yeah. well, no one can really guess what mario draghi is going to do. he's shown an ability to surprise the markets before, so
no one expects there to be an interest rate change, but that probably means there's going to be an interest rate change. also watching shares of twitter. we've been talking about this all morning. last night they reported earnings. their growth simply isn't there. they don't have the growth going forward. now, they're making a little more money and their revenues are up. it was down 18% after hours. let's watch and see what it does when it opens in new york. i suspect it's going to be heading south. guy, francine? >> yeah, it was pretty tough after the close last night. look, here's the thing. you've been highlighting this throughout the morning. is there any sense that twitter is beginning to become an international business? it's changed the world in so many ways, yet ironically it sent that international when it comes to its ad base. >> so if you can actually get a sales force localized in a bunch of different countries, you can see how they can torque their revenue internationally. what's harder and what's going to be harder for them to do is to increase their base. that's their real challenge. >> all right, hans, thank you
jobs report tomorrow. michael kors is a billionaire. all that from amanda python tote with the brass tag hanging from it. 2009 hundred 95 dollars. that said, betty liu. good morning, everyone. this is bloomberg "surveillance." we're live from bloomberg world headquarters in new york. it is tuesday -- thursday, february 6. joining me is betty liu. amanda python bag, does that work? >> the way you described it, i am going to go out and get one. >> i am going to stop talking. you have the morning brief. >> a lot of economic data. jobs numbers. that will be a preview to the jobs report friday. at 9:45 a.m. the bloomberg consumer comfort index. 7:00